Tomahawk, WI 12/10/2013 (BasicsMedia) – Micron Technology, Inc. (NASDAQ:MU) is a $20.32 billion market capped memory chipmaker. The company has this year seen its major growth in a long time. This growth is expected to continue into the next year and hopefully beyond. MU now ranks the fourth in the global semiconductor market, up from position 10 last year.

On Dec. 9, the company was able to settle a long-running patent dispute with Rambus. The patent row touched on SDRAM technology and the settlement now leaves MU free to put to good use all its memory technology. As part of the settlement, Micron Technology, Inc. (NASDAQ:MU) will make quarterly remittance of $10 million to Rambus for seven years. This totals to $280 million.

This payment is expected to affect the company’s net income for the duration covered. However, considering that now Micron Technology, Inc. (NASDAQ:MU) has more control of its memory technology, it should make up for this financial loss with high sales and improved profit margins. The company has within its reach strategies to turn the freedom it now has concerning the SDRAM technology into good financial stream. These may include expanding its memory market and operating on lean expenses.

Moreover, given the bullish nature of the memory market today, Micron Technology, Inc. (NASDAQ:MU) has the potential to raise more money through the sale of its memory products which actually attract higher margins.

It should be noted that the latest patent licensing agreement with Rambus encompasses Elpida, the memory maker which MU recently acquired. This means that MU now enjoys expanded usage of the technology.

Others in licensing issue

Micron Technology, Inc. (NASDAQ:MU) was not the only memory maker facing patent licensing issues with Rambus. SK Hynix also faced the same issue and only resolved it in June this year. In both cases of MU and SK Hynix, the agreements ended 13-year old patent dispute.

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